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Mileage reimbursement calculator for CRA and IRS rates

Enter the business kilometres or miles you drove and pick the rate. You'll see the reimbursement, worked out tier by tier.

A woman driving to a client meeting

How mileage is worked out

Distance × rate

100 business miles at the IRS rate of $0.76 pays $76.00. 100 km at the CRA rate of CA$0.73 pays CA$73.00.

Calculate a mileage reimbursement

Rate

km

The CRA rate is tiered: the first 5,000 kilometres are always paid at the higher rate, even when a claim goes well past that.

Reimbursement

Enter a distance to see the calculation.

How to calculate a mileage reimbursement

The CRA and the IRS each publish one per-kilometre or per-mile rate that covers fuel, insurance, maintenance and depreciation together. You claim the distance you drove, not the individual costs.

  1. Log the business distance

    Only business driving counts. The commute between home and your regular workplace doesn't. Write down the date, the destination and the reason for the trip along with the distance.

  2. Pick the right rate year

    Use the rate in effect on the day of the trip, not the day you file. The IRS split 2026 into two periods. A trip in June and a trip in August are reimbursed at different rates.

  3. Watch the tiers

    The CRA pays a higher rate on the first 5,000 kilometres of the year and a lower one after that. The tiers are cumulative. Going past 5,000 doesn't reprice the kilometres you already drove.

  4. Add the territorial supplement

    Driving in Yukon, the Northwest Territories or Nunavut adds 4 cents per kilometre to the CRA rate. Tick the box and it's applied to the whole distance.

2026 CRA and IRS mileage rates

Every rate this calculator can apply, as published. Canada's rate is tiered by distance, while the US rate is flat but changes partway through the year.

RateFirst 5,000 kmThereafterTerritorial supplement
CRA 2026CA$0.73CA$0.67+ CA$0.04
CRA 2025CA$0.72CA$0.66+ CA$0.04
IRS 2026 · Jul 1 – Dec 31$0.76 · All distanceNoneNone
IRS 2026 · Jan 1 – Jun 30$0.725 · All distanceNoneNone
IRS 2025$0.70 · All distanceNoneNone

Frequently asked questions

73 cents per kilometre for the first 5,000 business kilometres in the year, and 67 cents for every kilometre after that. An extra 4 cents per kilometre applies in the Northwest Territories, Yukon and Nunavut.

2026 has two IRS rates: 72.5 cents per mile for business travel from 1 January to 30 June, and 76 cents per mile from 1 July to 31 December. Use the rate in effect on the date of the trip, not the date of the claim.

No, and this is the mistake most homemade spreadsheets make. The tiers are cumulative. At 6,000 kilometres you're paid for 5,000 at the higher rate plus 1,000 at the lower one, rather than all 6,000 at the lower rate.

Usually not, if it's reasonable. In Canada, a per-kilometre allowance paid at or below the prescribed rate is generally not a taxable benefit, and in the US an accountable-plan reimbursement at or below the standard rate is generally not taxable income. Pay more than the rate and the excess usually is taxable. Check your own situation with your accountant.

Where these numbers come from

Rates are read from the agencies' own published tables:

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Mileage claims without a paper logbook

Smartbills records the trip, applies the rate in effect on that date and posts the claim to the right account. Nobody is retyping a mileage spreadsheet at month end.

See expense management